Today legendary value investor, Jean-Marie Eveillard told King World News that fear of a contagion is building and we are at the end of the road. Eveillard, who oversees $50 billion at First Eagle Funds, had this to say about the situation, “Well, what’s happening is that the Greeks are trying to convince the Germans that the German taxpayer should subsidize the Greeks, and the Germans are reluctant to oblige. At the same time, in Europe nobody wants to see a country, even a country as small as Greece, leave the eurozone because there is a fear that there will be contagion.”
Jean Marie Eveillard continues:
“If the Greeks leave the eurozone, then maybe Portugal will. And if Portugal leaves, then maybe Spain and Italy would be under attack. The big problem, of course, is the solution would be a European government. I mean the initial mistake twelve years ago was to have a monetary union, but not a fiscal union.